Suppose the banking system has no excess reserves,a reserve requirement ratio of 10%,and $50 billion of required reserves.What is the total checkable deposits in the banking system?
A) $50 billion
B) $500 billion
C) $450 billion
D) $550 billion
E) $650 billion
Correct Answer:
Verified
Q159: The total dollar amount of the outstanding
Q160: The process of transferring Federal Reserve deposits
Q161: The ratio of actual reserves to total
Q162: Which of the following is NOT a
Q163: If all banks are subject to a
Q165: In January 2010,the Federal Funds Target rate
Q166: Whereas prior to 1980 only banks create
Q167: A commercial bank can safely lend out
Q168: The deposit expansion multiplier on bank reserves
Q169: If the country is heading into a
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents